Air travelers in the Philippines could face higher ticket costs in the first half of October after the Civil Aeronautics Board (CAB) raised the allowable fuel surcharge to Level 17, up three levels from the current Level 14.
The new surcharge will apply to domestic and international flights from October 1 to 15, as airlines continue to deal with elevated and volatile jet fuel prices. The adjustment comes as the government maintains a shorter 15-day monitoring cycle for fuel surcharges amid continued volatility in energy markets.
Under Level 17, airlines may collect a fuel surcharge ranging from P559 to P1,635 per passenger for domestic flights, depending on distance. For international flights departing from the Philippines, the surcharge ranges from P1,846.10 to P13,726.58 per passenger.
The highest international surcharge applies to flights covering more than 14,000 kilometers, with a ceiling of P13,726.58 for a one-way journey. Flights to North America, the United Kingdom and the Netherlands can carry a surcharge of up to P13,072.93, while routes to Australia and the Middle East can reach P6,352.23.
Travelers heading to closer destinations will also see higher allowable charges. The ceiling is P2,553.19 for flights to Singapore, Thailand, Malaysia and Guam, while routes to Indonesia, Japan and South Korea can carry up to P2,871.83.
For domestic routes, the surcharge starts at P559 for flights of up to 200 kilometers and rises to P1,635 for routes exceeding 1,001 kilometers. Compared with the Level 14 ceiling for September 16 to 30, the new rates represent increases of P102 to P299 for domestic passengers.
Cargo operators will also face higher allowable fuel surcharges. For domestic shipments, Level 17 ranges from P2.87 to P8.40 per kilogram, while international cargo originating from the Philippines can be charged between P9.49 and P70.57 per kilogram, depending on distance.
The higher ceiling does not automatically mean every airline will charge the maximum amount. Carriers that intend to impose or collect the fuel surcharge must first file an application with the CAB, and any amount charged cannot exceed the Level 17 limits.
The CAB also set the applicable exchange rate for fuel surcharges collected in foreign currency at P62.71 per US dollar for the October 1 to 15 period, compared with P62.25 during the second half of September.
The increase comes as global jet fuel prices remain elevated. International Air Transport Association data showed jet fuel averaging about $194.90 per barrel as of September 18, up 24.2% from the previous month and 116.5% from a year earlier.
The CAB shifted to a 15-day fuel-surcharge monitoring and implementation cycle earlier this year to allow adjustments to respond more quickly to sharp movements in fuel prices. The temporary system is intended to reduce the delay between changes in international fuel costs and the surcharge applied to air travel.
With October marking the beginning of a busier travel period, the higher fuel-surcharge ceiling could add another layer of cost for passengers booking domestic and international flights, particularly on longer routes. However, the actual surcharge paid will depend on each airline’s approved application and the route involved.
